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Freeport board OKs preliminary budget

BUFFALO TWP — The Freeport School Board on Thursday night approved a preliminary budget for 2016-17, but business manager Ryan Manzer stressed that the final budget will bear little resemblance to the early budget.

“(It has) very little reflection on the final budget,” Manzer said, noting that the preliminary budget is not balanced.

The budget has projected revenues of $28.7 million, but has expenditures of $30.2 million, leaving a $1.5 million deficit.

The reason for approving such an early preliminary budget is so the school district can seek state exceptions, which would allow the district to raise its property tax rate above a state-imposed limit if needed.

This year, Freeport only would be allowed to increase taxes by 3.2 percent without exceptions. Manzer said the district likely is to receive exceptions for pension contributions and special education.

Seeking exceptions does not mean the board will use them to raise taxes. Manzer said seeking these exceptions keeps the district's options open.

He said it is too early to say how the tax rate will be affected in the final budget.

“We haven't had those discussions yet,” Manzer said.

The current budget is $28.6 million with property tax rates of 134.7 mills for Butler County and 58.8 for Armstrong County. A mill generates $1 in taxes for every $1,000 of a property's assessed value.

The school board is to vote on a final budget on June 9.

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